Forensic Accounting and Corporate Crime Mitigation in Selected Insurance Firms in South West Nigeria

ABSTRACT
This study investigates the role of forensic accounting in mitigating corporate crime within selected insurance firms in South West Nigeria. Specifically, the research examines the effectiveness of forensic accounting in reducing fraud and evaluates whether implementing forensic accounting practices enhances internal controls in these organizations. The study underscores the critical role forensic accounting plays in addressing fraudulent practices and strengthening corporate governance frameworks in the Nigerian insurance industry. A descriptive research design was adopted, utilizing primary data collected through structured questionnaires distributed to 50 key personnel in insurance firms. The data were analyzed using descriptive statistics and regression analysis via the Statistical Package for Social Sciences (SPSS). The model assessed the relationship between forensic accounting practices and corporate crime mitigation, focusing on fraud reduction and the enhancement of internal controls. The findings revealed that forensic accounting significantly reduces fraud and strengthens internal control systems in Nigerian insurance firms. The regression analysis indicated that forensic accounting practices positively influence corporate crime mitigation, with robust statistical support for both hypotheses tested. Respondents agreed that forensic accounting improves fraud detection, enhances governance, and provides a vital mechanism for managing financial crimes. In conclusion, the study highlights the indispensable role of forensic accounting in fraud prevention and internal control enhancement. It recommends mandatory integration of forensic accounting into corporate governance frameworks for insurance firms in Nigeria. Furthermore, continuous training of staff on forensic techniques and collaboration with regulatory bodies are advocated to ensure sustainability and effectiveness in fraud mitigation efforts.